Aon - credit insurance market grows as volatility increases

Aon | February 12, 2020

The credit insurance market continues to grow as volatility increases, according to a new report by Aon. Uncertainty around global affairs such as the trade tensions between the US and China and Brexit mean businesses – especially those looking to expand through international trade – are facing increased volatility, according to Aon. Changing purchasing behavior, increasing consumer expectations and digital transformation are also adding to the disruption. Businesses have to manage this uncertainty while continuing to invest in new sources of growth, putting increased pressure on balance sheets. Meanwhile, banks are reducing their exposure to corporate credit and trying to de-risk their own balance sheets, Aon said.

Spotlight

It’s no secret that the global pandemic has upended everyone’s life. We know this anecdotally from our own experiences—more online shopping with curbside pickup orders, ordering takeout and delivery versus in-person dining, and changing media consumption. And let’s not forget remote working and learning. These experiences are more than simply anecdotal; McKinsey has written about the more specific effects of the pandemic on consumer behavior and needs. In short, they write: “behavior changes will reshape consumer decision journeys and companies will need to adapt fast.”

Spotlight

It’s no secret that the global pandemic has upended everyone’s life. We know this anecdotally from our own experiences—more online shopping with curbside pickup orders, ordering takeout and delivery versus in-person dining, and changing media consumption. And let’s not forget remote working and learning. These experiences are more than simply anecdotal; McKinsey has written about the more specific effects of the pandemic on consumer behavior and needs. In short, they write: “behavior changes will reshape consumer decision journeys and companies will need to adapt fast.”

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